Common use of Hospitalization and Medical Program Clause in Contracts

Hospitalization and Medical Program. 10.4.1 The Board will, during the life of the Agreement, maintain and contribute to the cost for the current hospitalization and medical program for bargaining unit members regularly scheduled to work thirty (30) hours or more per week (1,560 hours or more per year). Employees regularly scheduled to work twenty (20) or more hours per week but less than thirty (30) hours per week are eligible for the hospitalization and medical program by paying the University the difference between the University’s full contribution and the full-time equivalent cost (e.g., for an employee scheduled to work twenty [20] hours per week, the University will pay fifty percent [50%] of the specified contribution and the employee will pay fifty percent [50%]). If an employee elects not to pay the prorated contribution, the employee will not be covered for this benefit. Employees must complete and file an application in accordance with the Board’s and the administrator’s regulations. 10.4.2 The health plan year is January through December. 10.4.3 Effective January 1, 2015, the University will offer the Community Blue PPO with ECM $2000/$4000 plan. The Board will elect the 80%/20% requirements of Section 4 of the Publicly Funded Health Insurance Contribution Act (Act 152 of 2011), hereinafter referred to as the “Act”, for the immediate future. Accordingly, the University will pay no more than 80% of the total annual costs of the medical benefit plan selected above. Employees will pay 20% of the total annual costs of the medical benefit plan selected above. For purposes of this provision, total annual costs includes the premium or illustrative rate of the medical benefit plan, administrative fees, stop loss reinsurance, fees and taxes mandated by state and federal law, and all employer payments for reimbursement of co-pays, deductibles, payments into health savings accounts, flexible spending accounts or similar accounts used for health care, but does not include the costs of dental and vision and does not include beneficiary-paid co-payments or beneficiary payments into health savings accounts, flexible spending accounts or similar accounts used for health care. The employee’s share of premium or illustrated rates will be paid via payroll deduction. The election by the University under Section 4 and 8 of PA 152 may be made annually. If, during the life of this Agreement, the University fails to elect 80%/20%, by default the University will instead use the “hard caps”; the parties will promptly negotiate this decision’s impact on the bargaining unit. 10.4.4 The Union authorizes the University to withhold the bargaining unit member’s health insurance premium/illustrated rate contributions through 26-pay pre-tax payroll deduction based on a single, two-person, family plan. Deductions will be made on a bi-weekly schedule through the NMU premium conversion plan, which means that contributions will be withheld in such a way that they are not subject to state, federal, social security, or Medicare withholding. The dollar amounts of withholding may be increased or decreased without further specific authorization, provided that employees receive 30 days advance notice of the amount of any increase in withholding. If it is determined that an employee has paid more than the actual amount owed due to an error, the bargaining unit member will be issued a refund. The refund will be processed during the earliest possible payroll cycle and the Union President will be notified. 10.4.5 The Employer may withhold $2.50 per covered employee per year to help fund wellness activities of the Health Care/Wellness Committee. The Employer also agrees to contribute $2.50 per covered employee per year for this purpose. 10.4.6 In the event that the Employer exercises its right to change insurance carriers, including third party administrators, any substantial changes in coverage would be subject to the provisions of the collective bargaining process. The Union and representatives of the Board will hold a Special Conference to discuss any proposed future changes to health care prior to any implementation action.

Hospitalization and Medical Program. 10.4.1 10.3.1 The Board will, during the life of the Agreement, maintain and contribute to the cost for the current hospitalization and medical program for bargaining unit members regularly scheduled to work thirty (30) hours or more per week (1,560 hours or more per year). Employees regularly scheduled to work twenty (20) or more hours per week but less than thirty (30) hours per week are eligible for the hospitalization and medical program by paying the University the difference between the University’s full contribution and the full-time equivalent cost (e.g., for an employee scheduled to work twenty [20] hours per week, the University will pay fifty percent [50%] of the specified contribution and the employee will pay fifty percent [50%]). If an employee elects not to pay the prorated contribution, the employee will not be covered for this benefit. Employees must complete and file an application in accordance with the Board’s and the administrator’s regulations. 10.4.2 10.3.2 The health plan year is January through December. 10.4.3 10.3.3 Effective January 1, 2015, the University will offer the Community Blue PPO with ECM $2000/$4000 plan. The Board will elect the 80%/20% requirements of Section 4 of the Publicly Funded Health Insurance Contribution Act (Act 152 of 2011), hereinafter referred to as the “Act”, for the immediate future. Accordingly, the University will pay no more than 80% of the total annual costs of the medical benefit plan selected above. Employees will pay 20% of the total annual costs of the medical benefit plan selected above. For purposes of this provision, total annual costs includes the premium or illustrative rate of the medical benefit plan, administrative fees, stop loss reinsurance, fees and taxes mandated by state and federal law, and all employer payments for reimbursement of co-pays, deductibles, payments into health savings accounts, flexible spending accounts or similar accounts used for health care, but does not include the costs of dental and vision and does not include beneficiary-paid co-payments or beneficiary payments into health savings accounts, flexible spending accounts or similar accounts used for health care. The employee’s share of premium or illustrated rates will be paid via payroll deduction. The election by the University under Section 4 and 8 of PA 152 may be made annually. If, during the life of this Agreement, the University fails to elect 80%/20%, by default the University will instead use the “hard caps”; the parties will promptly negotiate this decision’s impact on the bargaining unit. 10.4.4 The Union authorizes the University to withhold the bargaining unit member’s health insurance premium/illustrated rate contributions through 26-pay pre-tax payroll deduction based on a single, two-person, family plan. Deductions will be made on a bi-weekly schedule through the NMU premium conversion plan, which means that contributions will be withheld in such a way that they are not subject to state, federal, social security, or Medicare withholding. The dollar amounts of withholding may be increased or decreased without further specific authorization, provided that employees receive 30 days advance notice of the amount of any increase in withholding. If it is determined that an employee has paid more than the actual amount owed due to an error, the bargaining unit member will be issued a refund. The refund will be processed during the earliest possible payroll cycle and the Union President will be notified. 10.4.5 The Employer may withhold $2.50 per covered employee per year to help fund wellness activities of the Health Care/Wellness Committee. The Employer also agrees to contribute $2.50 per covered employee per year for this purpose. 10.4.6 In the event that the Employer exercises its right to change insurance carriers, including third party administrators, any substantial changes in coverage would be subject to the provisions of the collective bargaining process. The Union and representatives of the Board will hold a Special Conference to discuss any proposed future changes to health care prior to any implementation action.